Indonesia’s Automobile Sales Results in the First Half of 2023

Indonesia's automobile sales in the first half of 2023 increased by 6.5% from the same period of the previous year to 505,985 units. In the current fiscal year, although there was no reduction in the luxury tax on automobiles which was reintroduced last year, the steady recovery of the domestic economy provided a tailwind. The top three brands pushed up the market, led by Honda, which significantly expanded sales of its LCGC-compliant model the Brio Satya.

Indonesia’s automotive industry association GAIKINDO announced its full year forecast for the domestic market of 1.05 million units in April 2023, slightly exceeding the previous year's result. Last year, sales in 2023 were expected to reach 975,000 units, but the positive results for the January-March period led to an upward revision. However, the association added that there are potential global economic and geopolitical risks.